Half of expired Canada work permits held by Indians, over 2 million face status cliff

For families in Punjab and Haryana with children in Canada, the numbers translate into anxiety. Many of those affected are former international students who moved on to post-graduation work permits, truck drivers and transport workers, construction labourers, hospitality staff and other temporary foreign workers who filled gaps in Canada’s labour market after the pandemic.

Immigration lawyers in Canada have warned of a potential surge in undocumented residents if a significant number of permit holders neither secure extensions nor obtain permanent residency. While the federal government has prioritised in-Canada transitions to permanent residence, overall intake targets have been reduced under the 2025–27 immigration levels plan.

Backlogs remain high, and competition for permanent residency pathways such as Express Entry and provincial nominee programmes has intensified. At the same time, new caps on study permits and tighter rules for temporary foreign workers have narrowed many people’s options.

The current situation follows policy changes announced in 2024 and 2025 aimed at easing housing pressures and slowing population growth. The Canadian government has said it wants to bring the temporary resident population down to five per cent of the total population by 2026–27.

For a diaspora that has come to dominate Canada’s international student and temporary worker streams in recent years, the coming months are critical. Community organisations report a sharp rise in requests for legal advice as thousands weigh their next steps—whether to apply for extensions, transition to permanent residency streams, or return home.